Stablecoin Market Approaches 15% Market Valuation of Entire Crypto Economy CryptoGlobal
About two months ago, on April 11, the stablecoin economy was valued at $190 billion and approaching over $200 billion. However, after the Terra Stablecoin fallout, the fiat token economy has lost $16.31 billion in value since then. Although this value was wiped from the stablecoin market, stablecoins themselves accounted for 9.35% of the net worth in US dollars of the entire crypto-economy at the time. 61 days later, the crypto economy is worth around $1.15 trillion and the stablecoin economy is 13.8% of that total today.
In 61 days, Stablecoin dominance fell from 9% to 13.8%
For the first time in history, three stablecoins were among the top ten digital currencies by market valuation 36 days ago, May 6, 2022. At the time, these were tether (USDT), usd coin (USDC) and terrausd (UST), but that was before the UST implosion.
Although terrausd is gone, there are still three stablecoins in the top ten today, as binance usd (BUSD) is the seventh largest crypto asset by market capitalization. Two months ago, on April 11, the stablecoin economy was valued at $190 billion, but today, the stablecoin market valuation is now $159 billion.
On that day in April, the entire crypto economy was valued at $2.03 trillion and today it is worth around $1.15 trillion. Even though the fallout from Terra’s UST has seen billions of dollars leave the stablecoin economy, it still dominates much more than it did when it neared $200 billion.
Stablecoins also account for a large chunk of trading volume, and at the time of writing, fiat tokens have seen $46.1 billion in trade volume, while all crypto assets combined have seen $71.6 billion. Data shows that 64.38% of all digital currency trades today are traded against stablecoin pairs.
For example, tether (USDT) trading accounts for 60.26% of global bitcoin (BTC) trading volume while BUSD commands 10.05%. USDT and BUSD are the top two BTC trading pairs at the time of writing, according to metrics from cryptocompare.com.
Tether (USDT) is still the king of stablecoins with a market valuation of $72 billion which accounts for over 6% of the entire crypto economy. The Usd coin (USDC) is the second largest stable coin by market capitalization with a value of $53.7 billion.
USDC dominates today with over 4% of the crypto economy and combined, USDC and USDT account for 76.92% of the entire stablecoin dominance of 13.40% . BUSD, on the other hand, makes up 1.58% of the entire crypto economy. That leaves just over 1% of the crypto economy that comes from stablecoins like DAI, FRAX, TUSD, and USDP.
What do you think of the stablecoin economy which makes up 13.8% of the entire crypto economy? Let us know what you think about this topic in the comments section below.
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